RYE News and Press, Invesco S&P 500 Equal Weight Energy From 06/30/22

The transition towards a decarbonized economy is underway. It will involve a massive reallocation of resources. Economies will be reshaped as carbon emissions are cut, inevitably impacting portfolios. A possible acceleration from the current path, plus repricing that could have furthe...

The income potential of variable income entities is best realized when these vehicles are purchased near industry bottoms. There is a base dividend that is likely to grow and be maintained throughout the cycle. The base dividend will be attractive to income investors when the stoc...

MMLP recently emerged from a challenging period. The company is likely to refinance its senior notes. We believe that event will catalyze significant unit price appreciation. We also expect the distribution to increase significantly in a few years. HF...

We expect elevated inflation to continue into 2023 due to the lagged impact of food supply disruption and elevated energy costs. Should a recession occur, its scale is likely to be limited by the reduced number of negative feedback loops. Consumers enter this slowdown with a large...

The gap between energy stocks and consumer discretionary stocks is striking. We think the market is suggesting that extreme energy inflation will lead to a dramatic reduction in spending. If consumer spending turns out to be more resilient than the market expects, we think the con...

We remain cautious in equities, but in fixed income, investors now have more yield and credit spread to work with. We think that the Federal Reserve’s rate hikes for this cycle are becoming increasingly priced into the yield curve. Our fixed income team has stress-tested fo...

Oil and gas midstream stocks are not E&Ps, though they're trading as if they were. Oil macro conditions will remain positive for midstream above $70 per barrel. With shareholder value remaining stable or growing, midstream stocks are likely to see a swift recovery. For f...

The Energy sector ETF XLE holds a very small number of large-cap oil and gas-related stocks selected from the S&P 500, far fewer than its rivals. Its performance over the past decade has been inconsistent. An equal-weighted holding of just its two top stocks, XOM and CVS, has almo...

U.S. President Joe Biden has criticized oil majors for not stepping up to help combat record-high gasoline prices at the pump. Looking at Refinitiv Datastream, we observe U.S. oil production to see if oil companies have been increasing production since the pandemic. In reality, oi...

The Energy sector bounced along with the overall market on Tuesday, but last week, it was that sector’s turn to get taken to the woodshed. Last week marked just the sixth period in the last 30+ years that the Energy sector underperformed the S&P 500 by more than ten percent...